Council began Thursday afternoon with the Airport Fund, where Director of Public Works Jeff Da Silva walked members through operating and capital needs for 2026.
Da Silva said the proposed $855,000 in capital spending would be funded through the Passenger Facility Fee Reserve and the federally supported Airport Capital Assistance Program. Councillors questioned parking fees, equipment costs, and commissioner services at the terminal.
Coun. Daniel Brown asked whether the $925 annual parking fee for aircraft up to $45,000 was typical for small airports. Da Silva said the rate reflected industry standards. Other questions centered around equipment replacement, with Da Silva explaining that graders, plows, sweepers, and half-ton trucks were required for airport operations and that most large purchases depend on federal support.
Council approved the Airport Fund after reviewing revenues of $1,374,710, operating expenses of $1,377,384 and a $2,674 deficit balanced through transfers from reserves.
The second item on the agenda was the Land Fund. Planning and Development Services Director Craig Guidinger outlined how the fund supports lot servicing, land sales, and development levies. He noted that residential sales were modest in 2025, but the city is forecasting eight lot sales in 2026 and hopes to see more activity following recent price reductions.
A proposal to allocate $180,000 for preliminary servicing at the former Angus Mirasty School site drew debate. Brown opposed the funding, saying the city already has serviced land that has not sold. Coun. Darren Solomon shared concerns about moving too quickly without a clear design and said residents have asked that nearby green space be preserved.
Coun. Tony Head and Coun. Troy Parenteau supported keeping the project in the budget, describing the land as well-located and suitable for future housing needs. Guidinger said the area could help meet demand for smaller lots but confirmed that only early estimates were available. Brown moved to remove the $180,000 from the Land Fund, and council voted in favour of the amendment.
Council then approved the revised Land Fund, which includes $321,387 in long-term debt payments and a $397,490 operating surplus balanced through transfers.
Council concluded the evening with the Water Utility Fund, which had been tabled Wednesday so administration could prepare additional rate scenarios. The original proposal called for average increases of about seven per cent for 2026. On Thursday, Brown withdrew an earlier amendment seeking a five percent increase after reviewing updated numbers from the finance department.
“The seven per cent is not as scary. It is less than $2 on the lower end and still under $5 on the higher end,” Brown said before withdrawing his motion.
Coun. Blake Edwards said the updated models helped council understand the long-term impact of different increases.
“A little bit set aside today equals less of a bigger bite next year,” he said.
Finance staff explained that wastewater costs, chemical prices, energy rates and long-term infrastructure needs continue to place pressure on the utility. They noted that the 1972 wastewater treatment plant requires constant repair and will need a full upgrade. Prince Albert must remain eligible for CHIF funding to support future wastewater work.
Coun. Dawn Kilmer said she supported the seven per cent increase because it strengthens the utility’s position.
“The seven percent provides the stability. It allows us to eliminate the internal debt, rebuild the operating buffer, reduces financial risk and it puts us still as the second lowest city for water rates,” Kilmer said.
Council then unanimously approved the Water Utility Fund, which includes $3,025,000 in capital spending, $1,224,283 in debt payments and $21,958,024 in operating revenue. The fund is projected to move from a significant deficit to a $239,534 surplus before transfers.
All three budgets will now be forwarded to a regular City Council meeting for final approval.
